Distacom, the foreign shareholder of Spice Telecom, is exiting Spice. A financial investor, possibly a part of the Deutsche Bank Group, is believed to have bought Distacom’s 42 per cent. Another Deutsche entity has already bought out the debt of Spice Telecom after the company defaulted on its payments to Siemens and Motorola. This fund acquired the debt from the equipment suppliers at a substantial discount. Apart form Distacom, the Modis hold about 22 per cent and Darby and AIG hold the rest. Spice currently operates in the Karnataka and Punjab circles, where it has 3.1 million and 11.8 million subscribers respectively.
